Tips for managing bills and expenses

Create an expenses calendar

Cutting back on expenses is going to be tricky if you don’t know what they are. So, one of the first steps of expense management is creating a calendar of upcoming bills or expenses.
 

Whether you go old school and use a paper calendar or prefer a digital version on your phone or laptop, having a visual representation of your financial commitments allows for better organisation and planning.
 

The good thing about a digital calendar is that you can set up automatic reminders or alerts when bills are due. To get started, make a note in your calendar of the due date for all your bills. These might include:

• Rent or mortgage
• Phone
• Electricity
• Gas
• Gym membership
• Car or transport costs 
• Subscriptions 
• Health insurance 
• Pet costs
• Repayments for credit cards or loans

Once you’ve recorded regular expenses, add in less frequent bill payments such as insurance, council rates, or car registration.
 

Then, use the calendar to mark birthdays or other big events, such as a friend’s wedding where you know you’ll need to travel or buy a gift.
 

Remember, the point of an expenses calendar is to help pay your bills on time, avoid late fees, ensure your essential costs are always covered and accounted for, view upcoming expenses, and make it easier to anticipate and prepare for potential challenges.
 

Keep an eye out for the Westpac App’s new Bills Calendar tool, which will allow you to list upcoming bills and receive alerts when multiple bills are due to help better track and manage expenses.
 

Write a budget and track your spend

Creating a budget is another critical component of effective financial management.
 

Make a plan for how you earn, spend and save your hard-earned money by outlining your sources of income and categorising your expenses. Be realistic about your spending habits and set clear limits for discretionary spending.
 

A budget can give you a crystal-clear picture of your financial situation, helping you to understand where your money is coming from and where it’s going. You may also use it to set financial goals, make informed decisions – like choosing when to make a big purchase – and keep your expenses under control.
 

Remember, a budget isn’t a ‘set and forget’ exercise. It’s an ongoing process that requires regular review and adjustment. Set aside time each month to evaluate and track your expenses against the budget, so you can nip overspending in the bud and stay on track!
 

You can use Westpac’s downloadable budget planner to help you get started, then budget tools in the Westpac App to help you keep going. The App’s Savings Finder tool automatically calculates your annual spend on subscriptions and regular bills, so you can review them to see how much can be saved by cancelling or reducing expenses.
 

Automate bills with direct debit

Setting up direct debits for regular payments can also help make it simpler to pay bills. You might want to schedule payments the day after you get paid –– making sure you keep an eye on individual bills’ costs to make sure you have enough funds to cover them.
 

If you bank with Westpac, you can use PayTo^®, a new, secure payment option that allows customers to automatically track, cancel or pause online banking payments. You can also keep track of recurring bills and ongoing payments such as subscriptions and memberships.  
 

Set up a ‘rainy day’ fund

Life can be unpredictable. But, setting up a rainy day or emergency fund is your shield against unexpected twists and turns. Stashing away a few dollars every week or month can provide a welcome buffer and avoids budget juggling when an emergency happens.
 

Whether it’s a medical event, unexpected home maintenance, or a surprise bill, you’ll get peace of mind knowing you don’t have to reallocate funds or cut down when you need to find extra money.
 

Insurance

Insurance often only crosses people’s minds when it’s too late.
 

A bingle in the car, a sick pet, or a fallen tree at home sometimes happen. Regularly review your insurance coverage to ensure that it aligns with your current needs and circumstances. Life changes such as a new job, a new car, a pet, or the birth of a child can impact the coverage  you might need. In the face of unexpected events, also remember to check your product warranties.
 

In summary

Mastering the art of managing bills and expenses isn’t just financial know-how, it’s a strategy to help create a more secure financial future. You’re in the driver’s seat, so take control, use the tools at your disposal, and manage your bills before they start managing you!